If you have ever attended one of our discovery events you will know this is the question we also end on and I do my famous Jerry McGuire impression “Show me the money!”
In all seriousness we finish on this point because its often the question everybody has in their heads when thinking about starting or joining any form of business, of course you have lots of people who will tell you they only started the business to improve peoples lives or save the world.
It amazes me how its usually billionaires that give this story, Mr Branson is a shining example, as much as I love what he has achieved I do find in all his books he paints the image of the reason he started the business was to save the world, not to add to the billions.
In the real world the potential earnings from any business has to be a key driver in the decision making, I know some of you will be disagreeing and say nope its passion, you should do what you enjoy and money will follow. I wouldn’t disagree but you have to understand what that potential is and how you can achieve it.
The property sector is one of the most lucrative business sectors in the world, there are lots of roles in the property sector from agents, solicitors, epc, builders, surveyors etc etc. All sharing fees in the £6.8 trillion property market.
My personal view is there will always be a potential to earn monies as a business in the property sector because people need places to live and as the population grows so does this demand. I have looked at lots of different types of businesses in the property sector, I have also invested in a few as well. I often find a lot of businesses in this sector rely heavily on volumes for example property management, the average management fee in the northwest is £40, to build any business on an average fee this small requires high volumes, in the similar way epc surveyors and a lot of other service providers work on very tight margins.
In the middle of potential earning scale you have agents, who typically operate on a percentage of the property, the average in the UK is 1.75% which is a great fee. Unfortunately this part of the market is very competitive and the costs of operating the business are huge particularly with property portals and maintaining a high street presence.
And then there was Sourced….
We are very different in a number of ways:
1. We have taken advantage of the hybrid model, this means our franchisees can work from home or low cost serviced offices, start up and running costs are low.
2. We specialise in investment property meaning we have much fewer competitors, generally speaking we actually work with other investment specialists matching investors and opportunities.
3. As a business our average fee is £20,000 which is a huge fee, making the proposition of earning a good income within a property business a very achievable goal.
4. The growth is not slowing down, let’s be honest it is more and more difficult to save a deposit and buy a property, which means the rental market is outstripping the sales market by 30-1. Not great for first time buyers but amazing for investors.
The earning potential of a property business should be uncapped and in our sector it is, like any business you are rewarded on working hard and thinking smart. But more importantly you have to be in it to win it….